Deutsche Bank Maintains Buy on Apple as Expansion in China Continues

Deutsche Bank has published a research report on Apple AAPL as the company's expansion in China continues. In the report, Deutsche Bank writes, "China Telecom will begin selling the iPhone on March 9 th. This deal increases Apple's addressable market by roughly 130m wireless subscribers. China Telecom is growing its subscriber base rapidly with subs growing roughly 40%+ on a Y/Y basis or about 3M subs/month. Although China Telecom is the third largest of the 3 major Chinese carriers, this deal enhances distribution in China materially as 2 of the 3 largest Chinese carriers now carry the iPhone. Through China Unicom and China Telecom, Apple now reaches ~330m mobile subscribers in China. We expect China Mobile (the largest Chinese carrier with ~660m subs) to pick up the iPhone within the next 12 months." Deutsche Bank maintains its Buy rating and $600 price target on Apple, which is currently trading up $6.16 from Friday's $502.12 closing price.